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Packaging represents a significant and expensive obstacle in commercializing microsystem technology (MST) devices such as microelectromechanical systems (MEMS), microopticalelectromechanical systems (MOEMS), microsensors, microactuators, and other micromachined devices. This paper describes a novel wafer-level protection method for MSTs which facilitate improved manufacturing throughput and automation in package assembly, wafer-level testing of devices, and enhanced device performance. The method involves the use of a wafer-sized microcap array. This array consists of an assortment of small caps molded onto a material with adjustable shapes and sizes to serve as protective structures against the hostile environments associated with packaging. It may also include modifications which enhance its adhesion to the MST wafer or increase the MST device function. Depending on the application, the micromolded cap can be designed and modified to facilitate additional functions, such as optical, electrical, mechanical, and chemical functions, which are not easily achieved in the device by traditional means. The fabrication and materials selection of the microcap device is discussed in this paper. The results of wafer-level microcap packaging demonstrations are also presented.